Refer to the information provided in Figure 14.1 below to answer the questions that follow. Figure 14.1 -Refer to Figure 14.1. If policy makers take an action at time t₄, the impact on the economy will not be at time t₄ because A) economic policies are ineffective. B) of the recognition lag. C) of the implementation lag. D) of the response lag.

Question

Quizplus · Accepted Answer

The response lag refers to the delay between the implementation of a policy and the observable effects on the economy.

Refer to the Information Provided in Figure 14